Premier African Minerals (LON:PREM) – CORP: RHA update
Market Cap: £27m; Current Price: 0.7p
From yesterday: XRT installation underway
Premier African Minerals has received delivery of the X-Ray Transmission ore sorter (XRT) at the RHA Tungsten Mine, located in Zimbabwe. It is currently being assembled and integrated.
NORTHLAND CAPITAL PARTNERS VIEW: The X-Ray Transmission ore sorter (XRT) will form a key component of the processing plant at the RHA Tungsten Mine. Prem is on track for first production this quarter and has built up a significant stockpile of Run-of-Mine (ROM) ore. Progress is also being made at the underground mine and the Company is preparing to commence open pit mining in early-March.
Savannah Resources (LON:SAV) – CORP: Oman and Mozambique updates
Market Cap: £25m; Current Price: 5.6p
Completion of geophysics in Oman and positive results from drilling in Mozambique
Oman
Savannah has completed fixed loop transient electromagnetic (FLTEM) and downhole transient electromagnetic (DHTEM) surveys at the Lasail, Bayda, Dog's Bone and Zuha targets at Block 4 and Sarami East and Mahab 4 prospects in Block 5, located in Oman.
Further exploration drilling and down hole electromagnetic surveys are now required to further explore, confirm and evaluate the anomalies.
Mozambique
Savannah has identified significant zones of high-grade total heavy minerals sands, located in Mozambique, confirming the previous assay results from drilling completed by Rio Tinto.
Results include; 12m at 10.5% THM from surface (DH 5000), 12m at 8.7% THM from (DH 4952) and 15m at 8.1% THM from surface (DH 4946).
The Company will complete an initial Inferred Mineral Resource Estimate over the Ravene deposit but further drilling is required fully explore for potential extensions of the mineralisation. Resource estimation will be fast tracked and included into the Scoping Study that is currently underway.
NORTHLAND CAPITAL PARTNERS VIEW: At Savannah Resources Omani Copper Projects, FLTEM and DHTEM surveys have been completed at targets and prospects in Blocks 4 and 5. These surveys have confirmed the potential for depth extensions to massive sulphide mineralisation at both Lasail and Mahab 4 but did not highlight any significant potential for massive sulphide anomalies at Bayda, Zuha and Sarami East. At Bayda the work appears to confirm the potential for disseminated copper sulphides as indicated by previous drilling and the prospect remains a large tonnage lower-grade target. At Dogs Bone the survey could not be completed due to the collapse of the key hole. While in Mozambique the Company has verified the assay results from drilling completed by Rio Tinto and confirmed the presence of two >5% THM mineralised zones at the Ravene target. The main zone has a length of 3.5km and widths up to 1.5km, making it a sizable area to focus future operations.
SalvaRx (LON:SALV) – BUY*: New investment
Market Cap: £12.4m; Current Price: 34p; Target Price: 149p
Investment in Nekonal
SalvaRx entered into an agreement to make an investment in and form a collaboration with Nekonal SARL ("Nekonal"), a Luxembourg-based company holding intellectual property rights for therapeutics and diagnostics in the field of autoimmune disorders and oncology.
SalvaRx will invest an initial €600,000 and up to an additional €300,000, subject to certain milestones being achieved. The initial investment will comprise a €300,000 convertible loan in Nekonal to participate in the funding of its auto-immune programs and a €300,000 equity investment in Nekonal Oncology. The initial investment is being funded by existing cash resources.
Nekonal Oncology will focus on the development of first-in-class antibodies against a novel T-cell based target having potential for use as a monotherapy and combination therapy for solid and haematological malignancies.
SalvaRx will oversee a work plan that will advance multiple therapeutic antibodies towards the clinic for use in oncology.
Ian Walters, the CEO of SalvaRx, will be acting CEO of Nekonal Oncology and will join its board.
Forecasts under review, price target and BUY rating maintained.
NORTHLAND CAPITAL PARTNERS VIEW: SalvaRx’s continues to expand its portfolio of immuno-oncology assets, with the formation of the Group’s third cancer-immunotherapy portfolio company, Nekonal Oncology. Nekonal has discovered several candidate antibodies that can modulate T-cell function and suppress or eliminate regulatory cells, which may have the ability to substantially improve patient outcomes for many types of cancers. Immuno-oncology therapy is a fast growing market expected to grow to $80 billion worldwide by 2020.